Mantra Resources (ASX:MRU) has announced an initial Mineral Resource estimate (‘MRE’) for the wholly owned Nyota and NW Trend Prospects which form part of the larger Mkuju River Project (‘the Project’) in southern Tanzania.
The Inferred Mineral Resource has been estimated at 39.9 million tonnes averaging 409 ppm U3O8 for a contained 35.9 million pounds of U3O8 (or approximately 16,300 tonnes contained U3O8) at a lower cut-off grade of 200 ppm U3O8. The MRE covers only the areas drilled to date at the Nyota and NW Trend Prospects and is based on data from the approximately 40,000 metre drilling campaign completed by the Company last year.
Mantra’s Joint Managing Director Robert Behets said, “this initial Mineral Resource estimate is a significant milestone in the evolution of the Company and clearly demonstrates the significant potential of the Project. We believe that it provides an excellent platform for future growth as well as greatly enhancing Mantra’s ability to fulfil its strategic objective of becoming a uranium producer in the near term.”
The Company will continue to assess the economic viability of the Project through the Scoping Study, which is expected to be completed during the second quarter of 2009.
Key points are summarised as follows:
- The MRE is an initial resource for the Project and the potential exists to substantially increase this resource base with ongoing work;
- The MRE covers an area of approximately 9 square kilometres which represents only a small part of the overall target area of the Nyota and NW Trend Prospects;
- Mineralisation remains open within the current resource areas. In addition, numerous other radiometric anomalies at the Prospects, and within the broader Project area, have not yet been drilled;
- The uranium mineralisation is dominantly sandstone hosted and occurs in multiple stacked, flat lying horizons at shallow depths, with thicknesses up to 41 metres;
- The majority of the MRE is within 60 metres of surface; and
- Further drilling programs, aimed at expanding the MRE and upgrading the resource classification, are planned